Binance.US, the American affiliate of cryptocurrency exchange Binance, has filed a motion to challenge the Securities and Exchange Commission’s (SEC) request for a temporary restraining order.
In its motion, Binance.US argues that the SEC has failed to identify any securities traded on its platform and that the requested restraining order would harm its customers, potentially forcing it out of business and hindering its ability to fight the litigation.
Binance.US also argues that the SEC’s request is “draconian and unduly burdensome” and that it would have a negative impact on employee salaries, vendor relationships, and overall business operations.
The SEC’s lawsuit alleges that Binance.US violated the Securities Act of 1933 by offering and selling unregistered securities. The SEC is seeking a temporary restraining order, preliminary injunction, and disgorgement of profits.
Binance.US has denied the SEC’s allegations and has vowed to fight the lawsuit. The company has said that it is “committed to providing a safe and compliant platform for our users” and that it will “continue to cooperate with the SEC’s investigation.”
The SEC’s lawsuit against Binance.US is the latest in a series of actions by the agency against cryptocurrency companies. In recent years, the SEC has brought lawsuits against other cryptocurrency exchanges, including BitMEX and Poloniex.
The SEC’s actions have been criticized by some in the cryptocurrency community, who argue that the agency is overstepping its authority and stifling innovation. However, the SEC has defended its actions, saying that it is necessary to protect investors from fraud and market manipulation.
